New CreditorWatch Report Reveals — AI shifts from experimentation to essential capability for credit managers
New CreditorWatch report details how AI has become central to modern credit management
SYDNEY, 26 February 2026 – Nearly 95 per cent of Australian businesses already using artificial intelligence report positive outcomes, signalling that AI has moved beyond experimentation to become a proven operational tool. As credit teams contend with growing data volumes, tighter margins and heightened insolvency risk, AI is increasingly being viewed as essential infrastructure for effective credit risk management. That’s according to insights from CreditorWatch, published today in a new guide: Implementing Best Practice AI for Credit Managers.
The research highlights a widening adoption gap across the business landscape. While nearly seven in 10 (69 per cent) of large Australian businesses have already integrated AI into their operations, only a third of small businesses have done the same, despite often facing higher exposure to payment delays and cash flow volatility. This divergence is creating a capability imbalance with direct implications for credit decision-making, monitoring and risk response across the economy.
CreditorWatch CEO Patrick Coghlan has seen a noticeable shift in how credit managers are approaching technology and risk management.
“AI is no longer a ‘nice to have’ for credit teams,” Mr Coghlan said. “With almost all AI adopters reporting positive results, the greater risk now lies in standing still while others use AI to make faster, more informed and more proactive credit decisions.”
The guide outlines why AI is becoming central to modern credit management. Used effectively, AI can transform complex credit data into clear, actionable insights, automate time‑consuming administrative tasks, and surface early warning signs of financial stress that might otherwise be missed. This enables credit managers to act earlier on emerging risks while freeing teams to focus on higher‑value judgement and stakeholder engagement.
Despite the benefits, CreditorWatch’s research shows many organisations remain cautious. Common barriers include lack of expertise, data security concerns, budget constraints and uncertainty around return on investment. According to the report, these challenges can be addressed through a responsible, staged approach to AI adoption rather than large‑scale transformation.
Best‑practice implementation begins with assessing organisational readiness, including the quality and availability of credit data, the ability of existing systems to integrate securely with AI tools, and the organisation’s governance and risk appetite. From there, credit managers are encouraged to prioritise high‑impact use cases such as customer onboarding, credit assessment and ongoing account monitoring, where AI can deliver immediate operational and risk‑management benefits.
A central theme of the guide is that AI should augment, not replace, human expertise. Transparent and explainable AI models are critical to ensuring decisions can be understood, audited and justified, particularly in regulated environments. Maintaining human oversight remains essential where credit decisions carry material financial or reputational consequences.
“Responsible AI adoption is about trust as much as technology,” Mr Coghlan said. “When credit managers understand how insights are generated and how they should inform decisions, AI becomes a powerful support tool rather than a black box.”
The report also emphasises the importance of continuous monitoring once AI is deployed. Regular review of outputs, feedback from users and refinement of workflows help ensure AI continues to deliver value as market conditions and risk profiles change.
As AI adoption accelerates across the Australian economy, the guide concludes that credit managers who delay risk falling behind peers who are already using AI to improve efficiency, strengthen cash flow resilience and respond earlier to warning signs.
CreditorWatch’s AI‑powered credit risk tools are designed to support this responsible, best‑practice approach by delivering explainable insights that integrate directly into existing credit workflows.
Interested to learn more? Download the guide here: https://creditorwatch.biz/40qYZFN
ABOUT CREDITORWATCH
CreditorWatch provides Australian businesses of all sizes with innovative credit management solutions and unique, AI-powered data insights to help them reduce their risk exposure, get paid faster and trade more confidently. Its customers include sole traders and small business operators through to ASX-listed companies, across all industries and regions around the country.
As Australia’s only dedicated B2B credit reporting agency, CreditorWatch offers a complete suite of credit reporting products covering the entire customer lifecycle, from customer onboarding and credit decision automation to monitoring, credit risk management, PPS registrations, UBO/KYC reports and automated collections. API integrations are available for all products.
Find out more at creditorwatch.com.au.
